The reproductive stages of Dermocarpella gardneri and D. stellata, which have been reported only once, are described. Formation of baeocytes occurs by cellular divisions that are parallel to the substratum, followed by a series of anticlinal radial divisions. In some cases in D. gardneri, the superior cell, resulting from the first division parallel to the substratum, is liberated prior to radial divisions, and these probably represent the ‘macrogonidia’ originally described by Lemmermann for D. hemisphaerica. The baeocytes are released through a circular apical pore, which develops after the formation of a papilla that eventually dissolves to form a pore.